Celsius Holdings, Inc. develops, markets, and sells functional drinks and liquid supplements. Its core offerings include pre- and post-workout functional energy drinks and protein bars.

A federal securities fraud class action complaint has partially survived a motion to dismiss.

That complaint alleges that the company, through certain of its officers and directors made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, the Complaint alleges Defendants failed to disclose to investors: (1) that the Company had improperly recorded expenses for non-cash share-based compensation for second and third quarters of 2021; (2) that, as a result, the Company’s financial statements for those periods would be restated, including to report a net loss for the third quarter of 2021; (3) that there was a material weakness in Celsius’s internal controls over financial reporting; and (4) that, as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.

On March 22, 2023, the Court issued an Order denying in part Defendants' Motion to Dismiss the complaint.

On April 10, 2023, the Court issued an order referring the case to settlement mediation.

If you have continuously held Celsius shares since on or before August 12, 2021 you may be able to seek corporate reforms, the return of funds back to the company, and a court approved incentive award.

If you would like to learn more about this matter at no cost to you, please contact us at jgrabar@grabarlaw.com or call 267-507-6085.